Section 8 Fair Market Rent (FMR) for ZIP 55052 - 2027

Location: Waseca County, MN | Metro: Rice County, MN

Investment Score for ZIP 55052

Monthly Rent (2BR)

$1,290

Median Price (2BR)

$295,911

1% Rule

0.44%

Annual Yield

5.23%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$980
1 Bedroom	$990
2 Bedrooms	$1,290
3 Bedrooms	$1,710
4 Bedrooms	$2,150
5 Bedrooms	$2,494
6 Bedrooms	$2,793
7 Bedrooms	$3,016
8 Bedrooms	$3,167

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$1,290	$295,911	0.44%	F
3BR	$1,710	$329,381	0.52%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

2,114

Median Household Income

$82,760

Housing Units

928

Renter Percentage

18.3%

Occupancy Rate

90.5%

Renter Occupied

154

Morristown, Minnesota, located in ZIP code 55052, is a small city that offers a stable housing market with modest rental demand. The following analysis provides key metrics to inform investment decisions.

The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,210, which represents the maximum amount a low-income household should pay for housing.
The market rent for Morristown, according to the Census American Community Survey (ACS), is currently $1,173, indicating a slight gap between market rates and government-set fair rents.
The median home value in the area stands at $317,491, reflecting the typical price point for residential properties.
Renters make up 18.3% of the local housing market, suggesting a smaller but steady demand for rental properties.
The median income in Morristown is $82,760, providing insight into the financial capacity of potential tenants.

For landlords and small-portfolio investors, the data suggests a moderately favorable environment where rental income can be competitive with the market while remaining below the FMR threshold. The relatively low share of renters implies that rental properties must cater to a niche market or offer significant value to attract tenants. Given the median income, there is potential for steady rental payments, but the supply of rental units should be carefully considered to avoid oversaturation. Overall, the market presents opportunities for those who can provide quality, affordable housing options.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). Demographics from U.S. Census (2024).

About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.